The bank undertook the rights issue to secure long-term funding to accelerate investment in technological platforms and bolster the Bank’s Tier 1 capital adequacy ratio.

A rights issues is an invitation by a company to existing shareholders to purchase additional new shares in the company in proportion to their existing holding at a discount to the market price.

In this case, the entitlement ratio was one (1) new share for every five (5) ordinary shares held on or before the closing date of 16 October 2020. I&M Rwanda had listed 202,000,000 new shares on offer under the rights issue. Shareholders applied for 225,584,700 new shares under the entitlement and application for additional shares. Therefore, the total subscription performance rate came in at 112 per cent.

Consequently, the total number of issued and fully paid up shares after the rights issue is 1,212,000,000. On October 30, the I&M Rwanda bank listed the new shares on the Rwanda Stock Exchange and commenced trading.

Faida Securities Rwanda and I&M Burbidge Capital acted as the joint lead transaction advisors. Ms Rina Hicks, Chief Operating Officer at Faida Securities said that I&M Rwanda growth will be driven by the focus on increasing their MSME offering and leveraging digital banking to enhance efficiency and revenue diversification.